The golden rule is: Only invest in things you understand.
And with cryptocurrency, what needs to be understood is more complex than the average investment decision. It’s not a company’s stock or sector of the economy you’re betting on. It’s an entirely new monetary system you’re saying that people will adopt.
This extra dimension to the investment adds research. Terms like ‘blockchain’ and ‘ICO’ are things we must know. Understanding when and where to use virtual vs. physical wallets is part of the investor’s responsibility. And trying to learn why Bitcoin can go from $7,000 to now $14,000 in one month will separate you from the other crypto-investors.
Fortunately, we live in an age where we can seek out expert opinions, and today we are joined by the Chairman of the Bitcoin Foundation and Cofounder of Blockchain Capital, Brock Pierce. Brock has been in the digital currency game for the past 20 years, and on today’s episode of The Tai Lopez Show, he covers everything cryptocurrency-related.
Cryptocurrency technically defined is a monetary system based on math and cryptology governed on a peer-to-peer basis.
It works on a blockchain technology - which is a decentralized and distributed digital ledger, used to record transactions across many computers. This makes it so that the record cannot be altered retroactively.
If cryptocurrency reinvents money, then ‘money is power’ will shift to ‘technology is power’ or ‘consciousness is power.’
Easier to think about cryptocurrency as digital gold or Gold 2.0 because it isn’t good for transactions (yet)
Cryptocurrency is a bubble but so is everything else
Currently in an emotional market based on sentiment being driving force of prices
The blockchain will bring security to Data Transport Protocol